PORT ANGELES — Without union approval, Nippon Paper Industries USA implemented a labor contract Monday with about 130 members of the Association of Western Pulp and Paper Workers Local 155 employed at the plant.

Company and union officials said the hourly workers stayed on the job Monday as they produced paper for telephone books and newspapers such as Peninsula Daily News.

The union has agreed to allow some workers to begin training to operate the new biomass-fired cogeneration plant, which goes on line in September, although it is not in the existing contract.

The facility will burn biomass for steam, which will be used to make paper and to generate 20 megawatts of electricity that will be sold to utilities and other buyers.

“We did not want to hold that hostage to negotiations,” Minor said.

Norlund said the company and Local 155 had reached tentative agreement on more than 30 noneconomic items, including cogeneration plant training and other contract policies and procedures.

“Economics tend to be a packaged bargain rather than individually approved,” Norlund said.

In his prepared statement, Norlund said the contract that was put into effect Monday offers the best chance for survival.

“The company believes the terms set forth in its final offer, in combination with many other changes that have been and continue to be made in our operation, offer the best chance of creating a cost structure that will allow the Port Angeles mill to survive, and hopefully to thrive, and for its employees to continue to have viable, local jobs well into the future.”